Ricketts Introduces PORCUPINE Act to Support Taiwan’s Self-Defense

WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE) introduced the Providing Our Regional Companions Upgraded Protection in Nefarious Environments (PORCUPINE) Act. Senator Chris Coons (D-DE) is the lead Democrat sponsor. The PORCUPINE Act will help streamline the process for arms sales to Taiwan regulated by the Arms Export Control Act. Currently, sales to NATO member states and other close allies and partners of the United States have shorter congressional notification timelines and higher threshold values. However, Taiwan is not currently included on that list. The bill will also make it easier for our allies and partners to send U.S.-origin weapons to Taiwan. 

“On my recent CODEL to Taiwan, I saw a partner ready and willing to provide for its own self-defense in the face of increasing aggression by Communist China,” said Ricketts. “However, our antiquated arms sales process and struggling defense industrial base have prevented Taiwan from getting the weapons it needs in a timely manner. The PORCUPINE Act will make it easier for us to send arms to Taiwan, quicker, while also creating a process for our closest allies and partners to do the same.”

“Taiwan is on the front lines of a free and open Indo-Pacific, and defending the island and our values requires that we swiftly provide the weapons systems it needs—but in the face of Chinese greyzone pressure and the constant threat of invasion, it takes far too long to deliver these weapons,” said Coons. “China isn’t going to bide its time and wait for arms sales to be completed before launching an attack. Passing the PORCUPINE Act today is the first of many steps we need to take to update our arms sales process and ensure our Taiwanese partners have what they need to defend themselves.”

The PORCUPINE Act would:

• Put Taiwan in the NATO-plus category for shorter formal Congressional notification times and higher weapons value thresholds.
• Require the Secretary of State to establish an expedited decision-making process for blanket third party transfers of defense articles and services from NATO member countries, Japan, Australia, the Republic of Korea, New Zealand or Israel to Taiwan, including transfers and re-transfers of U.S. origin grant, FMS, and DCS end-items not covered by an exemption under the International Traffic in Arms Regulations (ITAR).

BACKGROUND:

Under the Arms Export Control Act (AECA), the Department of State (State) submits to the Senate Foreign Relations Committee and House Foreign Affairs Committee a notification of a prospective major arms sale before the executive branch takes further formal action. This allows committees to ask questions or raise concerns prior to State initiating a formal notification. State will generally not proceed as long as one of the four corners has a hold on a sale during the informal process. 

After the informal notification process is complete, the AECA requires the President to formally notify Congress 30 days before issuing a Letter of Offer and Acceptance (LOA) for an Foreign Military Sales(FMS)-administered sale, enhancement, or upgrading of major defense equipment valued at $14 million or more; the sale, enhancement, or upgrading of defense articles or services valued at $50 million or more; or the sale, enhancement, or upgrading of design and construction services valued at $200 million or more. In the case of such sales to NATO member states, NATO, Japan, Australia, South Korea, Israel, or New Zealand, the President must formally notify Congress 15 calendar days before proceeding with the sale. The prior notice threshold values for transfers to these recipients are $25 million for the sale, enhancement, or upgrading of major defense equipment; $100 million for the sale, enhancement, or upgrading of defense articles and defense services; and $300 million for the sale, enhancement, or upgrading of design and construction services.

A similar process for formal notification times and thresholds exists between NATO-Plus countries and other countries for Direct Commercial Sales (DCS), as well. FMS involves the U.S. government acting as an intermediary, facilitating a government-to-government transaction, while DCS allows direct contracts between US companies and foreign entities. DCS offers more flexibility in contract terms and conditions. FMS often include a “total package” approach, encompassing training, spare parts, and other support, potentially leading to higher initial costs. FMS contracts typically adhere to U.S. military standards, ensuring interoperability with US forces. DCS contracts may offer non-standard configurations.